Document preparation company for a probate?

Document preparers promise to do cheap divorces, bankruptcies … and probates. Is this a good idea? Should you use a document preparation company for a probate?

The short answer is NO (for most situations). I’ve been practicing law for 15 years now. I believe a document preparer could work if you have a very basic situation. Basic situations might be:

The deceased person left a valid will that an attorney prepared, and there is only one person in that will who is entitled to everything (and that same person is also named as the Personal Representative).

The person died without a will, and there is only one person entitled to everything. For example, the person died with no children and there is a surviving spouse.

Otherwise, I think it’s a recipe for mistakes and a family fight if you attempt to use a document preparation company. Here are some common disasters that can happen:

The document preparer will suggest that everyone sign a Waiver of Bond. Bond is a form of insurance that protects against the Personal Representative stealing assets or mismanaging the estate. It’s surprisingly common for a Personal Rep to not act fairly. Bond protects the other family members from misbehavior by the Personal Representative.

The document preparation company won’t check the Will for ambiguities or read the Will to see if what it says makes sense. If the estate gets distributed contrary to what the Will says, the Personal Rep could be on the hook personally for the mistake.

Creditor claims can be complicated. For example, when should you deny a creditor claim?

If you have a statement from a creditor (like a hospital or ambulance bill), and you send that company a Notice to Creditors, does the creditor need to send you another statement (like the Notice to Creditors says)? If you fail to deny a claim within a certain period of time, it is considered allowed and the estate need to pay it.

The document preparation company won’t think through other issues. For example, how to transfer the property. A Will might way that Personal Representative should transfer the house to the deceased parent’s four kids. But that could turn into a fiasco if the kids can’t agree on what to do with the property. It would be better to have an attorney work with the family. The lawyer will fix such a situation before it turns into a problem.

If a step mom or step dad is involved, you need a lawyer. There will almost certainly be conflict over division of the personal property. What if the step parent refuses to divide any of the deceased parent’s belongings with the children. It’s best to have a lawyer involved for such cases.

These are just some common situations that came to me when writing this. Just remember this: If the probate situation is really, really simple, a document preparer could handle it for you. But most cases these days are more complicated. Especially if you’re dealing with a blended family or multiple brothers or sisters.

If you have any questions, give us a call at 602-443-4888. We promise to talk straight with you. If you don’t need an attorney, we’ll let you know.

A great legal team is critical to the success of your Estate Plan. The Scottsdale Estate Planning and Trust attorneys at Magellan Law will help you plan a cohesive strategy to take care of your estate now, and for future generations!